The impact from the nationally televised images and media accounts certainly added
to the perception that southern California tourist attractions have been impacted by the
recent wildfires, but the bottom line (according to California tourism officials) is that the fires
had minimal economic impact on major tourist attractions. Rather, officials say the blazes
were concentrated in areas which are mostly residential and agricultural and where tourists
typically don't visit.

The fire fight was well-coordinated and involved firefighters coming from across the western
US to help with its ferocity caused by the unpredictable wind shifts. Emergency services were
characterized as well-organized and evacuation procedures were orderly. It appears that the
coordination amongst first responders minimized casualties and looting. Evacuation centers
were almost overflowing in abundance of food and services ranging from massage sessions
to Internet centers and accommodation for horses and pets were available.

A major feature of living and doing business in California is the peace of mind as a resident
that you get knowing that California has a comprehensive and expeditious response to natural
disasters.  Its emergency management programs are thoroughly planned and there are established
plans, back up and contingency plans for any disaster including evacuation procedures and the
equipping of evacuation centers for everything from fires, floods and earthquakes. The Washington
Post identified in an editorial that California is the ‘Gold Standard’ for disaster response in the
nation.

During the fires, the tourism industry of California never missed a beat. There were
closures of a number of attractions in San Diego during the height of the fires and
access to certain areas in the greater Los Angeles area were restricted or closed.
The website on California tourism, www.visitcalifornia.com constantly updated tourists
along with the media and the tourism industry on the status of the fires and the impact
on tourism services and attractions.

As identified by a San Diego Convention and Visitors Bureau, CVB press release identified that
there was little impact on the tourism industry. This is not to say that major attractions were
not closed. Sea World- San Diego, Wild Animal Park and Legoland California shut down for four
days during the height of the fires (all are reopened), but closures occurred because of the
unhealthy environment for their customers caused by the smoke coupled with support to help
keep roads clear for firefighters and evacuees and to make things easier for employees who
needed to evacuate.  But, the fires did not impact the operation of cruise lines operating from
San Diego or Long Beach.

The San Diego CVB recently issued a statement from Mayor Jerry Sanders, saying the city is
ready to welcome visitors. Major attractions such as the San Diego Zoo, San Diego Zoo's Wild
Animal Park, LEGOLAND California and Sea World San Diego are open for business. In addition
to these attractions, San Diego area beaches, restaurants, shopping centers and arts and
culture facilities are welcoming visitors, and the region's hotels are accommodating travelers
after providing lodging for evacuees.

On its Website, the Los Angeles Convention and Visitors Bureau stated that, "all Los Angeles
county fires are extinguished and are no longer a threat to LA County's major attractions.

At times smoke hampered flights in and out of Los Angeles, but despite the fires life kept on
moving. Tourists continued enjoying Disneyland, Knott’s Berry Farm, and Universal Studios
despite smoky skies. Again there were no impacts on cruise lines operating from Long Beach

From a tourism perspective; the fires in Southern California were more a hazard than a crisis.
California’s government is very conscious of the importance of the tourism industry given its
size ($88 billion, employing nearly 1 million Californians). During the emergency there was close
cooperation between the state government and state tourism officials to inform tourists of the
fire situation while maintaining a confident marketing image. Tourism officials and the state
government asserted that maintaining visits was an expression of support for the people and
businesses which had experienced loss during the fires.

However, the tourism industry realized that the fires would deter some tourists. As a consequence
most airlines, hotels and tour operators servicing Los Angeles waived cancellation penalties and
encouraged canceling travelers to re-schedule. Other destinations in California encouraged tourists
to stay in the state and visit places outside the Los Angeles region.

Although Qualcomm Stadium had been used as one of the central evacuation centers during the
week, after the fires were extinguished and evacuees were allowed to go home the stadium was
cleared and cleaned allowing for the San Diego Chargers NFL team to play their game within days
of the height of the fires.

 

Additionally, the Pro Golfers Association, PGA tournament, the Nationwide Tour Championship at
Barona Creek, located in Lakeside, Calif., in San Diego County, was played Nov. 1-4. However, the
first stage PGA TOUR Qualifying Tournament, initially scheduled to be played during the week at
Carlton Oaks Golf Club in Santee in San Diego County, was shifted to a course in Scottsdale,
Arizona because of the heavy smoke.

Finally, the total impact from the fires continues to rise.  The California Insurance Institute now
estimates that the damage has resulted in over $2 billion in value. Insurance companies have
received over 14,000 claims and over 2,200 homes were destroyed.  Yet, within hours after the
mandatory evacuation was lifted across southern California, donations over $20 million were
provided by California’s business community and more is still being given for the relief efforts.

Outlook
The 2007 wildfires remain smaller in economic value from the 2003 southern California wildfires
and the 1994 Northridge Earthquake and the 1987 Loma Prieta Earthquake.